Value un-buildable vacant land

[Couch Potato]

I never said you did, but as you know, it ends up being implied when 3 or 4 people jump on someone with comments that aren't exactly nice.

Why is it "not nice" to try help someone stay out of trouble?

There is nothing "not nice" about helping someone recognize their limitations. "Not nice" would be failing to point out the limitations, enabling them to get into trouble.

In this case, I think the poster is pushing the limits, but will likely be fine. He is open to referring it to someone else, which shows he has good sense. I am a bit concerned the lot is called unbuildable, yet the post describes the buyers intent to build a garage on the lot. :new_all_coholic:

Obviously the lot has value to more than just the buyer and seller. Parking always has value in large cities, but the value of the parking to a particular buyer is related to the distance from the destination. Obviously this parking has the greatest value to the adjacent property. I would start by looking at how the addition would affect the value of that adjacent property, then move on down through the value of the parking to others in the area based on their proximity to the lot. Check around, you might find sales of similar properties. They are not easily found, but it is quite likely a number exist. If you were in San Francisco, I could give you a couple. If you look, you may find some.

 

[PropertyEconomics]

I would look at sales of remnant parcels ... parcels that have no utility but are often sold from the Dept of Transportation or other govenrment entitites as excess remnant tracts. Usually they are sold to an adjoining property owners at X% fraction of fee ... while they may not be recent they may well allow you to measure percentages and apply them to current sales.

I dont think $10,000 parking spaces are reflective of value of this parcel, particularly given there is likely no demand for them in their current location.

Good luck.

 

[Couch Potato]

There may well be value for the parking spaces in their current location since the owner is currently using them for three vehicles. The post does not specify where the current owner resides in relation to the parcel, but I know in San Francisco it is not uncommon to have parking two blocks from your residence.

An elderly friend of mine was able to sell a forty year old, detached two-car garage for $75,000 in San Francisco back in the early 1990s. It financed the remodeling of her house, which was then rented out to cover the cost of her long-term care facility. It was not that the garage didn't have value for her, but she could do without it since the house also had a built-in tandem two-car garage. Yes, she got the best price from the guy around the corner whose property was also adjacent to the garage, but she had multiple offers for the garage.

I realize Chicago is different from San Francisco, but it has many similarities in the age and style of much of the residential neighborhood construction. Both cites have major portions built-out prior to the popularity of the automobile, and have strong public transportation systems.

 

[PropertyEconomics]

Since the OP is in Illinois .. I doubt your San Francisco comps will help very much ....


Im just sayin .... I think the real issue with this lot is Highest and Best use ... if the OP figures that out then the direction of how to appraise the property will appear .. and they will know how to search for comparable sales.